China has opened an anti-dumping investigation into imports of p-nitrotoluene from the European Union, adding pressure to strained trade relations between Beijing and Brussels. The probe was announced on October 3, less than a week before EU and Chinese officials are due to hold trade discussions in Beijing.
China’s Commerce Ministry said the investigation followed an application from domestic producers, who alleged that low-priced EU imports were causing damage to production and business operations. P-nitrotoluene is an industrial chemical used in manufacturing dyes, pharmaceuticals and pesticides.
According to reports, Chinese authorities will examine whether EU suppliers have been selling the chemical in China at unfairly low prices. The investigation is expected to be completed within 12 months, although the ministry can extend the process by another six months. The probe does not itself establish that dumping occurred.
The move comes amid escalating trade friction. The European Union has stepped up scrutiny of Chinese imports and opened an investigation in September into polyvinyl chloride imports from several countries, including China. Beijing has rejected claims that the competitiveness of Chinese manufacturers is driven by state support and has warned of countermeasures against further EU restrictions.
The latest investigation arrives just days before EU Trade Commissioner Maroš Šefčovič is scheduled to visit Beijing on October 8 and 9 for talks with Chinese Commerce Minister Wang Wentao. The discussions are expected to address trade imbalances, market access, industrial overcapacity and unresolved economic concerns.
Both sides face pressure to prevent trade measures from widening their dispute.
